Csx Corporation · NASDAQ:CSX
Csx — Dahlman Rose & Co. Global Transportation Conference 2011
10 slides from Csx's conference presentation, Sep 7, 2011
Slide 1: Forward-Looking Statements
1 Forward-Looking Statements This information and other statements by the company may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act with respect to, among other items: projections and estimates of earnings, revenues, volumes, rates, cost-saving
Slide 2: Current environment moderating; long-term intact
Current environment moderating; long-term intact Domestic and global economy growing at a slower pace — Near-term growth still expected, but likely at lower rate than originally expected Most CSX markets are holding up well quarter-to-date — Year-over-year growth in Merchandise in-line with seco
Slide 3: Impact of global economic trends mixed for CSX
Impact of global economic trends mixed for CSX European GDP forecast is now 1.7% for 2011 — Eurozone debt issues persist Global oil demand has declined — Although crude oil price remains steady above $80 Emerging economies continue to show solid growth — However, expectations have moderated
Slide 4: Still expecting overall coal growth in second half
Still expecting overall coal growth in second half Utility inventories have declined — Currently at 55 days in the east — Down over 40% from 2009 peak and Domestic 50-55 Days down 8% from last year Coal 50 Days Industrial energy demand is 65-70 Days likely to remain flat Asian demand up signif
Slide 5: Intermodal long-term growth story still intact
Intermodal long-term growth story still intact Domestic Market International Market Year-Over-Year Change in Volumes Year-Over-Year Change in Volumes 24% 4% 14% 3% 0% (3%) Q1 2011 Q2 2011 Q3 2011 TD Q1 2011 Q2 2011 Q3 2011 TD Steady, profitable growth driven by Cycling 2010 customer gains and ov
Slide 6: CSX proved it can outperform in a downturn
CSX proved it can outperform in a downturn . . . Operating Continuing Operating Margin Income Growth EPS Growth Improvement (bps) 2006 – 2009 2006 – 2009 2006 – 2009 15% 450 28% (20) (11%) (180) (8%) (10%) (31%) CSX Peers S&P CSX Peers S&P CSX Peers S&P 500 500 500 CSX ranks among top CSX ranks amon
Slide 7: CSX is achieving results with financial discipline
CSX is achieving results with financial discipline Incremental Margins Margin Improvement First Half 2011 First Half 2011 44% 190 20% (90) CSX Peer Average CSX Peer Average Source: Thomson One 13 Performance through 2015 reflects strong growth 2010 2011 – 2015 Base Guidance Operating $3.1 12% – 14%
Slide 8: Wrap-up
Wrap-up . . . Capitalizing While expectations have moderated, still expecting H2 growth on Moderate Most CSX markets performing at or above Q2 growth rates Growth Strong and diverse portfolio provides confidence near & long-term CSX Sectors Strong export coal growth continues; utility invent
Slide 9: GAAP Reconciliation Disclosure
Appendix 17 GAAP Reconciliation Disclosure CSX reports its financial results in accordance with generally accepted accounting principles (“GAAP”). However, management believes that certain non-GAAP financial measures used to manage the company’s business that fall within the meaning of Regulation G
Slide 10: GAAP Reconciliation
GAAP Reconciliation Full Year 2006 Results Dollars in millions 2006 Operating Income $ 2,137 Insurance Recoveries (168) Comparable Operating Income $ 1,969 Operating Margin 22.3% Insurance Recoveries (1.7%) Comparable Operating Margin 20.6% EPS from Continuing Operations $0.94 Insurance Recoveries (
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